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Long-Term Debt | 9 Months Ended
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Mar. 29, 2020
Debt Disclosure [Abstract] |
Long-Term Debt | 11. Long-Term Debt Debt Obligations The following table presents the total balances outstanding for UNIFI’s debt obligations, their scheduled maturity dates and the weighted average interest rates for borrowings as well as the applicable current portion of long-term debt:
|  |  |  | Weighted Average |  |  |  |
|  | Scheduled |  | Interest Rate as of |  |  | Principal Amounts as of |
|  | Maturity Date |  | March 29, 2020 |  |  | March 29, 2020 |  |  | June 30, 2019 |
ABL Revolver |  | December 2023 |  | 2.2% |  |  | $ | 30,900 |  |  | $ | 19,400 |
ABL Term Loan (1) |  | December 2023 |  | 3.1% |  |  |  | 90,000 |  |  |  | 97,500 |
Finance lease obligations |  | (2) |  | 3.6% |  |  |  | 12,811 |  |  |  | 11,118 |
Total debt |  |  |  |  |  |  |  |  | 133,711 |  |  |  | 128,018 |
Current ABL Term Loan |  |  |  |  |  |  |  |  | (10,000 | ) |  |  | (10,000 | )
Current portion of finance lease obligations |  |  |  |  |  |  |  |  | (4,112 | ) |  |  | (5,519 | )
Unamortized debt issuance costs |  |  |  |  |  |  |  |  | (772 | ) |  |  | (958 | )
Total long-term debt |  |  |  |  |  |  |  | $ | 118,827 |  |  | $ | 111,541 |
(1) | Includes the effects of interest rate swaps.
(2) | Scheduled maturity dates for finance lease obligations range from June 2020 to November 2027, as further outlined in Note 4, “Leases.”
ABL Facility On December 18, 2018, Unifi, Inc. and certain of its subsidiaries entered into a Third Amendment to Amended and Restated Credit Agreement and Second Amendment to Amended and Restated Guaranty and Security Agreement (the “2018 Amendment”). The 2018 Amendment amended the Amended and Restated Credit Agreement, dated as of March 26, 2015, by and among Unifi, Inc. and a syndicate of lenders, as previously amended (as further amended by the 2018 Amendment, the “Credit Agreement”). The Credit Agreement provides for a $200,000 senior secured credit facility (the “ABL Facility”), including a $100,000 revolving credit facility (the “ABL Revolver”) and a term loan that can be reset up to a maximum amount of $100,000, once per fiscal year, if certain conditions are met (the “ABL Term Loan”). The ABL Facility has a maturity date of December 18, 2023. The 2018 Amendment made the following changes to the Credit Agreement, among others: (i) extended the maturity date from March 26, 2020 to December 18, 2023 and (ii) decreased the Applicable Margin (as defined in the Credit Agreement) pricing structure for Base Rate Loans (as defined in the Credit Agreement) and LIBOR Rate Loans (as defined in the Credit Agreement) by 25 basis points. In addition, in connection with the 2018 Amendment, the principal amount of the ABL Term Loan was reset from $80,000 to $100,000. Net proceeds from this ABL Term Loan reset were used to pay down the amount outstanding on the ABL Revolver. In connection and concurrent with the sale of UNIFI’s 34% interest in PAL on April 29, 2020, UNIFI entered into the Fourth Amendment to Amended and Restated Credit Agreement (“Fourth Amendment”). The Fourth Amendment among other things: (i) revised the definition of permitted dispositions within the Credit Agreement to include the sale by Unifi Manufacturing, Inc. of its equity interest in PAL so long as the aggregate net cash proceeds received equaled or exceeded $60,000 and such sale occurred on or before May 15, 2020; (ii) revised the terms of the Credit Agreement to allow (a) the net cash proceeds from the sale of PAL to be applied to the outstanding principal amount of the ABL Revolver until paid in full and (b) remaining net cash proceeds held by UNIFI, so long as certain conditions are met; and (iii) revised the terms of the Credit Agreement to allow the lenders to make changes to the benchmark interest rate without further amendment should LIBOR temporarily or permanently cease to exist and a transition to a new benchmark interest rate such as the Secured Overnight Financing Rate (“SOFR”) be required for future ABL facility borrowings. UNIFI currently maintains three interest rate swaps that fix LIBOR at approximately 1.9% on $75,000 of variable-rate debt. Such swaps are scheduled to terminate in May 2022. Scheduled Debt Maturities The following table presents the scheduled maturities of UNIFI’s outstanding debt obligations for the remainder of fiscal 2020, the following four fiscal years and thereafter:
|  | Fiscal 2020 |  |  | Fiscal 2021 |  |  | Fiscal 2022 |  |  | Fiscal 2023 |  |  | Fiscal 2024 |  |  | Thereafter |
ABL Revolver |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 30,900 |  |  | $ | — |
ABL Term Loan |  |  | 2,500 |  |  |  | 10,000 |  |  |  | 10,000 |  |  |  | 10,000 |  |  |  | 57,500 |  |  |  | — |
Finance lease obligations |  |  | 1,429 |  |  |  | 3,563 |  |  |  | 3,388 |  |  |  | 1,094 |  |  |  | 1,132 |  |  |  | 2,205 |
Total |  | $ | 3,929 |  |  | $ | 13,563 |  |  | $ | 13,388 |  |  | $ | 11,094 |  |  | $ | 89,532 |  |  | $ | 2,205 |

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- Definition The entire disclosure for long-term debt. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
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